Driving cost reductions and innovation at Par-Pak

While the current economic climate put pressure on Par-Pak to step up its energy conservation plans, the process began three years ago when the company hired its first Continuous Improvement Manager. The packaging industry has a large impact on the environment, and the company wanted to do its part to reduce the amount of greenhouse gases its processes released into the atmosphere. Although, with a four million dollar annual energy bill, the massive cost reductions were fairly enticing as well.

The Continuous Improvement Manager was looking to reduce wastes wherever they occurred in the company, from labor to materials to resources. Energy was immediately identified as an area with significant opportunities. With corporate direction and a goal of 5 per cent energy reduction per unit of production, Par-Pak began to streamline energy processes. Their energy management team contains executive level participation and a company wide energy policy helps keep the team focused. This top down approach is complemented with the bottom up efforts that drive many energy reduction projects.
They ramped up the process in 2008 by working with the Canadian Plastics Industry Association (CPIA) and Hatch Energy to identify any low hanging fruit through a mini-energy assessment. Potential estimated savings from implementing the low cost or no-cost opportunities was $74,750 annually. To date, Par-Pak has captured at least 75 per cent of the potential savings by implementing a majority of the key opportunities from the mini-assessment.

For example, at their head office located at 26 Victoria Crescent,Par-Pak reduced compressed air leaks resulting in savings of $3,500 per year, and reduced compressed air system pressure by 2 pounds per square inch gauge (psig) which represents energy savings of $5,000 per year.The simple act of turning off lights when they were not in use resulted in savings of 9.2 kW, which translates into $5,000 annually and a lighting project installing energy efficient lighting fixtures with motion sensors helps reduce energy use even further.

Par-Pak also identified significant opportunities at their 376 Orenda and 391 Orenda facilities. Compressed air leaks demonstrated a significant cost savings opportunity at both facilities – approximately $14,200 worth. Turning off the lights provided a combined $5,500 reduction in the energy bill. Installing occupancy sensors in areas of low occupancy, turning off loading dock flood lamps and closing air curtains when not in use were further improvements. Par-Pak has also purchased ultrasonic air leak detector to conduct regular leak audits for about $1,000 - which, considering the $17,700 wasted in air leaks alone before the audit, is an excellent investment.

The company created monthly and year-to-date energy use profiles for each plant for staff, which allows them to monitor their progress with respect to the corporate goal. The level of employee buy-in has also increased through targeted efforts, such as monthly energy meetings with plant managers and engineers and energy awareness activities such as ‘Energy Kickoff Day’, newsletters, energy tip emails, and posting energy information on bulletin boards.

One of the lessons learned is the importance of having a planned, integrated approach to energy management as opposed to implementing projects in a piecemeal manner. For instance, Par-Pak was not aware of the many lighting retrofit rebates available to them before they implemented some of their projects. They have rectified that situation, ensuring that they take full advantage of the many rebates being offered by government and utilities to help companies reduce their energy costs. “We will be making sure we have everything in place before moving forward with new projects,” says Health Environment and Safety Manager, Enzo Sorrentino.

And those plans moving forward are big. Over the coming months, Par-Pak will be completing a comprehensive Sustainability Plan, in partnership with Partners in Project Green and Seneca College. They will also be conducting a pollution prevention audit with Partners in Project Green and the Ontario Centre for Environmental Technology Advancement, and are investigating a rooftop solar project at their 26 Victoria location. Another innovative project under review involves recovering process heat to heat their facilities in winter. “Energy costs will rise – and Ontario has one of the highest energy costs in Canada,” says Mr. Sorrentino, “and we can’t control what energy costs are going to be. But we can certainly control how we use energy, when we use it, and how much we use.”

 

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“Increasing sustainability by reducing energy at Tempo”

Tempo sees the value in protecting the health and safety of the environment. They’re starting at home with improved energy efficiencies in their facilities.

Approach Highlights

► Retrofitted metal halide lighting in warehouse to highly efficient T5 lighting system with motion sensors.

► Ensured success of initiatives with high level managerial buy in.  

► After implementing many energy saving projects, Tempo found even more reductions – about 10 per cent - by taking advantage of Canadian Plastics Industry Association’s mini assessment initiative.

Results

► Found $9,000 worth of air leaks in compressors.

► By turning off one of their compressors on the weekend, using only a small 75 horsepower compressor, Tempo will save $7,500 each year.